It’s time for an irregular grab bag of news and notes that didn’t wind up in a post this week.
It’s been a busy week here on the News desk, including some news from Crunchbase itself that I’m sure you’ve seen by now.
Last week I got on the phone with Pete Anevski, President, CFO and COO of Progyny, a company that went public that very day.
Progyny, as a reminder, is a venture-backed company that raised a known $99.5 million before going public.
It’s a company to watch, and a win for Kleiner Perkins, TPG Biotech, Mellon Ventures, and others.
You can read the whole thing for yourself here (do, if you are in the SaaS world in any capacity), but let’s snag a few notes for the busy among us:
SaaS companies as a cohort grow more slowly than you’d expect, even at modest ARR levels.
(Amongst survey respondees with over $5 million ARR, a 36.3 percent growth rate was the median.)
In 2018, companies in the survey had blended CAC of $1.14 for a marginal dollar of ARR and burned $1.47 in capital for the same new $1 in annual recurring revenue.
SaaS companies of all sizes derive an average of just under 37 percent of new ARR from upsells and expansions; I can’t decide if that feels high or low, but, again, having a broad metric is useful.
A working median for SaaS only ARR is 78 percent.
Put another way, 80 percent of SaaS companies failed the Rule of 40.
That while the rest of the world is busy watching the Astros lose at home (four times!), the crypto believers are still busy out there building the future that they see as best.